Shanghai Electric elects to assume full ownership of Goss International

Thursday, May 20, 2010

Press release from the issuing company

Shanghai Electric (Group) Corporation (SEG) will acquire 100-percent ownership of Goss International in June, 2010, exercising an option established when it became a shareholder in the company in September, 2009.

The acquisition of the remaining shares by SEG will give Goss International an industrial owner with substantial resources and accelerate cooperation among SEG affiliated printing equipment suppliers within a unique worldwide network.

"We are taking this step because Goss International is a market leader with innovative technology and a highly effective global manufacturing, sales and support platform," according to SEG chairman Xu Jianguo. "We will continue to support the organization in sustaining these differentiating advantages over the long term. Full ownership of Goss International enhances our presence in the print sector, our world-class product portfolio and our ability to deliver innovation, value and security to a wider range of printers and publishers."

Goss International president and CEO Jochen Meissner says his organization and SEG share an international outlook and a focus on working with customers to realize innovative, technology-driven solutions. "Our ownership structure is solid, and our vision is clear. We have confidence in our ongoing ability to innovate, to execute projects large and small, and to provide excellent customer support," he explains.

Chairman Xu Jianguo says that a 100-percent ownership of Goss International will create opportunities for Goss International and Shanghai Electric (Group) Corporation companies to pursue joint product development initiatives, integrate and enhance sales and support capabilities in some regions, and optimize manufacturing operations throughout America, Asia and Europe. "We look forward to welcoming the Goss International organization within our family of companies and to leveraging and building on the formula of continuous innovation and international expertise that has made it an industry leader," Mr. Xu adds.

Other current shareholders in Goss International, including majority shareholder MatlinPatterson Global Opportunities Partners, will sell their shares in the company as part of the transaction that will transfer 100-percent ownership to Shanghai Electric (Group) Corporation.

Goss International supplies web offset presses and finishing systems for newspaper, magazine, catalog, direct mail, packaging and other printing applications. The company has development and manufacturing operations in The United States, The Netherlands, France, Japan and China and a worldwide sales and support network.

SEG and its affiliates are one of the largest mechanical and electrical equipment manufacturing groups in China with 60 core manufacturing sites, more than 40,000 employees and 2009 revenues of $8.6 billion.